Why do people give their money to Hedge Funds ?
I'm 19 years old, and started investing last year.
I bought Tesla stock from $672 on 7 May 2021, and then sold at $1017 on 16 October 2021. In 6 months, I made 51%+ without any knowledge, information, analysis or anything. If I bought stock of an another big company, like AAPL/MSFT I was going to make profit around 25%-40%.
I saw the returns of Hedge Funds this year, and it's pretty disappointing. The avarage return is around 15%-20%. Why do people give their money to Hedge Funds to invest ? I feel like if you invest into a company, and keep your money for the long-term, you would make a lot more profit. What's the point ?
And, why hedge funds perform this bad ? Don't you guys have MBAs from M7, CFAs, BB IB experience, so many analysts and people. Am I missing something ?